Anyone set up a co-op instead of taking scrap to the middleman?

Most scrap collectors are small one man (often part timers) businesses, so they just take the stuff to a place they heard of. This middleman sells it to the people who really has the huge equipment to transform the scrap into something useful.



How about some of us getting together and set up a place where we act as the middleman? I cannot be the first to have suggested this, and of course most people will just point out why it cannot be done.

Has anyone formed such a co-op? Please post some details.

I am seriously thinking of forming one, if it succeeds others can learn from me and set them in their local area.

I think it is a good idea. Even the simplest pooling of scrap to get a volume great enough for higher prices would work. I've been in those type setups in my farming for example to have enough sesame seed to fill a minimum contract. I think it can and should be done if you have an area with several scrap guys close together. The accounting wouldn't be hard and would only require a notebook, scales and a trusted seller. The hardest part could be storage.

yes indeed when prices started to tank all over I looked for about everything I could to make more money and found a few people of like minds. all the light tin and garbage steel I still take in local but all my heavy steal things min. like posts and such no thinner we load onto rail gondolas to get 75-100ton to ship at a time. I don't run this mind you I am a mid range producer and small by comparison to these guys I still load in my truck. the place changes were we load because over various factors but its kind of like the scrap yard I pull up weight unload and tally it up.
I carry this over until were about ready to ship and then get paid out. there is a few middle men still in that sense but nothing over bearing and this way even as of today when prices are lower and after shipping I am getting $0.065lb/ which here local best prices are $0.0325 at best and in my town $0.02 tins a penny

From what I heard grandfatherd scrapyards are all that can keep going in some states
PA is open , NY not . Regardless Gov imposed regulations are the stumbling bloc.

America's wings are being clipped each year. Enterprising individuals who want to create a co-op would represent
some of the true original American / Canadian push for economic independence but really Gov laws will be hard to
handle .

What would work is a larger scale of what we already do , we are under the radar . We have to stay that way.

I'm all for entrepreneurship and trying different things to gain a better result, and I think it would be a good exercise to delve into this more. It might provide you some information useful for future purposes even if this doesnt work out. But, to put in my 2cents, you should already be able to figure out that there is going to be a lot of time, effort, details and trust involved to get a group of independent people to agree on a co-op type program, all for the sake of avoiding the "middle man" and sell directly to large buyer for greater profit. I think you will find in the end that it is easier to sell your goods fast, pocket the money, and move on to the next project. Yes, the "middle man" makes more per pound than you, but he is also handling all the difficult aspects you would encounter with a co-op. All along the chain, each person is earning their money based on their business model. No one party is hoarding the lions share of the profits, so there isnt really a golden apple to grab that would improve your bottom line dramatically. If you go for this, i wish you the best and please keep us updated on results. I'm not wanting to discourage you and be a naysayer, i just think the operational logistics might be too big to overcome.

Definitely Interested!

One can always invest in one of those U-Haul storages until the E-Waste gets picked up . Just my 2 cents

Figure these days I except .05 a pound for mix .
If I could bring product and have it weighed and get a slip . I'd be willing to wait
as other scrapper also bring in metals . But what are we talking here
.10 a pound
.15 a pound
.25 what price is paid for volume .
Sounds like the creation of a yard with expenses
equipment a permit would be needed . How do you prevent theft wile in storage.
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Im in for this I have the whole thing set up in Central MA, scale docks truck fork truck racking etc etc I use to do crazy business out of here I got sick with MRSA and its been costing me 300 a day to just maintain and im starting to fall behind, ever try to make 300 bucks profit a day plus your own paycheck when you have no money each day. I cant believe its lasted the last three years.

Please call me, wait I have no phone, send a note, wait I have no mailbox, try to email me, my net is getting shut down, stop by Stillwater REcycling 44 MEad street Leominster MA, Wait my landlord locked my doors at 32 days late on my rent. What the ......................... Now Im almost 3 months in and do that math Ive never been so broke. How did that help me pay you! This co op would work, actually scrap works, Just keep it safe.

i support! then we can purchase scrap with lower price.